Earnings release
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– 1 – Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. (Stock Code: 3330) Lingbao Gold Group Company Ltd. (A joint stock limited company incorporated in the People’s Republic of China with limited liability) ʮ̡ ANNOUNCEMENT OF INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2026 The board (the “ Board”) of directors (the “ Directors”) of Lingbao Gold Group Company Ltd. (the “ Company”) is pleased to announce the unaudited interim results of the Company and its subsidiaries (collectively referred to as the “ Group”, “ we” or “ our”) for the six months ended 30 June 2026 (the “ Current Period ”). The interim financial results have been reviewed by the Company’s audit committee (the “ Audit Committee ”). In addition, the Group’s external auditor has reviewed the interim financial report in accordance with the Hong Kong Standard on Review Engagements 2410 “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by Hong Kong Institute of Certified Public Accountants (the “ HKICPA”).
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– 2 – CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS for the six months ended 30 June 2026 — unaudited (Expressed in Renminbi Yuan) Six months ended 30 June 2026 Six months ended 30 June 2025 Note RMB’000 RMB’000 Unaudited) Unaudited) Revenue 4 7,988,239 7,792,736 Cost of sales (6,107,984) (6,654,557) Gross profit 1,880,255 1,138,179 Other revenue 54,334 41,912 Other net losses 5(b) (224,876) (1,626) Selling and distribution expenses (9,666) (5,655) Administrative expenses and other operating expenses (271,761) (224,825) Profit from operations 1,428,286 947,985 Finance costs 5(a) (95,772) (68,046) Profit before taxation 5 1,332,514 879,939 Income tax 6 (325,051) (209,898) Profit for the period 1,007,463 670,041 Attributable to: Equity shareholders of the Company 972,414 663,969 Non-controlling interests 35,049 6,072 Profit for the period 1,007,463 670,041 Basic and diluted earnings per share (RMB cents) 7 72.72 52.33
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– 3 – CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME for the six months ended 30 June 2026 — unaudited (Expressed in Renminbi Yuan) Six months ended 30 June 2026 Six months ended 30 June 2025 RMB’000 RMB’000 Unaudited) Unaudited) Profit for the period 1,007,463 670,041 Other comprehensive income for the period (after tax and reclassification adjustments) Item that may be reclassified subsequently to profit or loss: Exchange differences on translation of financial statements of overseas subsidiaries 61,181 985 Items that will not be reclassified subsequently to profit or loss: Changes in fair value in equity instruments at fair value through other comprehensive income (“FVOCI”) 54,493 2,544 Other comprehensive income for the period 115,674 3,529 Total comprehensive income for the period 1,123,137 673,570 Attributable to: Equity shareholders of the Company 1,082,682 666,725 Non-controlling interests 40,455 6,845 Total comprehensive income for the period 1,123,137 673,570
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– 4 – CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION at 30 June 2026 — unaudited (Expressed in Renminbi Yuan) At 30 June 2026 At 31 December 2025 Note RMB’000 RMB’000 (Unaudited) (Audited) Non-current assets Property, plant and equipment 8 3,154,348 2,333,228 Construction in progress 8 1,316,369 971,832 Intangible assets 9 4,998,971 1,119,638 Goodwill 5,498 4,717 Right-of-use assets 185,825 189,499 Financial assets at fair value through profit or loss (“FVTPL”) 14,701 9,785 Financial assets at FVOCI 184,103 129,610 Non-current prepayments 180,091 151,210 Deferred tax assets 287,088 322,291 10,326,994 5,231,810 Current assets Inventories 10 2,974,251 2,469,797 Trade and other receivables 11 1,187,549 989,302 Financial assets at FVTPL 427,970 183,414 Restricted cash 12 837,955 1,140,402 Cash and cash equivalents 12 1,277,875 819,357 6,705,600 5,602,272 Current liabilities Bank and other borrowings 13 2,565,058 2,425,633 Convertible bonds 14 — 990,281 Trade and other payables 15 1,515,458 1,062,708 Contract liabilities 139,098 105,388 Lease liabilities 3,486 4,037 Financial liabilities at FVTPL 15 — 137,070 Current tax payable 46,729 92,400 4,269,829 4,817,517 Net current assets 2,435,771 784,755 Total assets less current liabilities 12,762,765 6,016,565
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– 5 – CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION (CONTINUED) at 30 June 2026 — unaudited (Expressed in Renminbi Yuan) At 30 June 2026 At 31 December 2025 Note RMB’000 RMB’000 Unaudited) (Audited) Non-current liabilities Bank borrowings 13 1,413,300 790,700 Other payables 15 733,462 543,476 Lease liabilities 3,095 5,118 Deferred tax liabilities 1,076,315 10,227 3,226,172 1,349,521 NET ASSETS 9,536,593 4,667,044 CAPITAL AND RESERVES 16 Share capital 275,896 257,395 Treasury shares (26,879) — Reserves 7,586,630 4,621,215 Total equity attributable to equity shareholders of the Company 7,835,647 4,878,610 Non-controlling interests 1,700,946 (211,566) TOTAL EQUITY 9,536,593 4,667,044
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– 6 – NOTES TO THE CONDENSED INTERIM FINANCIAL REPORT (Expressed in Renminbi Yuan unless otherwise indicated) 1 BASIS OF PREPARATION This interim financial report has been prepared in accordance with the applicable disclosure provisions of The Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “ Listing Rules ”) and Hong Kong Accounting Standard 34, Interim Financial Reporting, (“HKAS 34 ”) issued by the Hong Kong Institute of Certified Public Accountants (“ HKICPA”). HKAS 34 is consistent with International Accounting Standard 34, Interim Financial Reporting, (“IAS 34 ”) issued by the International Accounting Standards Board (“ IASB”) and accordingly this interim financial report is also prepared in accordance with IAS 34. It was authorised for issue on 26 August 2026. The interim financial report has been prepared in accordance with the same accounting policies adopted in the 2025 annual financial statements, except for the accounting policy changes that are expected to be reflected in the 2026 annual financial statements. Details of any changes in accounting policies are set out in note 2. The interim financial report has been prepared on a historical cost basis. The interim financial report is prepared on a going concern basis, as the Directors are satisfied that the Group has the ability to continue as a going concern. In making this assessment, the Directors have assessed the potential cash generation, the liquidity of the Group and existing funding available to the Group. On the basis of these assessments, the Directors determined the use of the going concern basis of accounting to prepare the interim financial report is appropriate. The preparation of an interim financial report in conformity with HKAS 34 and IAS 34 requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses on a year-to-date basis. Actual results may differ from these estimates. The interim financial report contains condensed consolidated financial statements and selected explanatory notes. The notes include an explanation of events and transactions that are significant to an understanding of the changes in financial position and performance of the Company and its subsidiaries (together “ the Group ”) since the 2025 annual financial statements. The condensed consolidated interim financial statements and notes thereon do not include all of the information required for a full set of financial statements prepared in accordance with HKFRS Accounting Standards or IFRS Accounting Standards. 2 CHANGES IN ACCOUNTING POLICIES The HKICPA and IASB have issued the following amendments that are first effective for the current accounting period of the Group. Of these, the following developments are relevant to the Group’s financial statements: Amendments to HKFRS/IFRS 9 and HKFRS/IFRS 7 Amendments to the Classification and Measurement of Financial Instruments Amendments to HKFRS/IFRS 9 and HKFRS/IFRS 7 Contracts Referencing Nature-dependent Electricity These amendments do not have material effect on the Group’s results and financial position for the current interim period or prior accounting period. The Group has not applied any new standard or interpretation that is not yet effective for the current accounting period.
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– 7 – 3 SEGMENT REPORTING The Group manages its businesses by divisions, which are organised by a mixture of business lines (production processes, products and services) and geographical locations. In a manner consistent with the way in which information is reported internally to the Group’s most senior executive management for the purposes of resource allocation and performance assessment, the Group has identified five reportable segments for the six months ended 30 June 2026 (2025: four reportable segments). Operating segments with similar nature of the production process, products and services have been aggregated to form the following reportable segments. Mining — PRC Gold mining and mineral ores processing operations in the People’s Republic of China (“ PRC”) Mining — KR Gold mining and mineral ores processing operations in the Kyrgyz Republic (“ KR”) Mining — PNG Gold mining and mineral ores processing operations in the Papua New Guinea (“ PNG”) Smelting Gold and other metal smelting and refinery operations carried out in the PRC Retailing Gold and other jewellery retailing operations in the PRC (a) Segment results, assets and liabilities Information regarding the Group’s reportable segments as provided to the Group’s most senior executive management for the purposes of resource allocation and assessment of segment performance for the periods is set out below. For the six months ended 30 June Mining — PRC Mining — KR Mining — PNG Smelting Retailing Total 2026 2025 2026 2025 2026 2025 2026 2025 2026 2025 2026 2025 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 Revenue from external customers 312,161 71,724 39,723 — 411,194 N/A 7,399,429 7,893,667 36,454 6,053 8,198,961 7,971,444 Inter-segment revenue 1,818,929 1,618,384 267,364 293,496 — N/A 64,212 66,769 61 1,531 2,150,566 1,980,180 Sales taxes and levies (95,803) (75,292) (104,467) (103,113) (10,205) N/A (78) (144) (169) (159) (210,722) (178,708) Reportable segment revenue 2,035,287 1,614,816 202,620 190,383 400,989 N/A 7,463,563 7,960,292 36,346 7,425 10,138,805 9,772,916 Reportable segment profit 1,210,760 949,664 83,341 62,467 93,235 N/A 218,566 47,379 789 283 1,606,691 1,059,793 Reversal/(provision) of impairment on: — Other receivables — — — — — N/A 4,000 — — — 4,000 — — Inventories — — — — — N/A (532) (1,053) — — (532) (1,053) As at 30 June/31 December Reportable segment assets 8,236,315 7,090,156 824,807 757,752 1,990,890 N/A 7,918,130 4,880,635 30,142 15,937 19,000,284 12,744,480 Reportable segment liabilities 2,175,477 2,081,395 1,718,543 1,731,714 684,640 N/A 6,194,074 4,274,246 17,145 4,176 10,789,879 8,091,531
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– 8 – 3 SEGMENT REPORTING (Continued) (b) Reconciliations of reportable segment revenues, profit or loss Six months ended 30 June 2026 Six months ended 30 June 2025 RMB’000 RMB’000 (Unaudited) (Unaudited) Revenue Reportable segment revenue 10,138,805 9,772,916 Elimination of inter-segment revenue (2,150,566) (1,980,180) Consolidated revenue 7,988,239 7,792,736 Profit or loss Reportable segment profit 1,606,691 1,059,793 Realisation/(elimination) of inter-segment profit 153,374 (6,148) Reportable segment profit derived from the Group’s external customers 1,760,065 1,053,645 Other net loss (224,876) (1,626) Finance costs (95,772) (68,046) Unallocated head office and corporate expenses (106,903) (104,034) Consolidated profit before taxation 1,332,514 879,939 Income tax (325,051) (209,898) Profit for the period 1,007,463 670,041
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– 9 – 4 REVENUE The principal activities of the Group are mining, processing, smelting and sales of gold and other metallic products in the PRC. Revenue represents the sales value of goods sold to customers, net of sales tax and value added tax. Disaggregation of Revenue Disaggregation of revenue from contracts with customers by major products lines is as follows: Revenue from contracts with customers within the scope of HKFRS/IFRS 15 Six months ended 30 June 2026 Six months ended 30 June 2025 RMB’000 RMB’000 (Unaudited) (Unaudited) — Sales of gold 7,943,639 7,862,157 — Sales of other metals 200,773 101,258 — Sales of jewellery 36,448 5,613 — Others 18,101 2,416 Total revenue 8,198,961 7,971,444 Less: Sales taxes and levies (210,722) (178,708) 7,988,239 7,792,736 All revenue was recognised at a point in time under HKFRS/IFRS 15.
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– 10 – 5 PROFIT BEFORE TAXATION Profit before taxation is arrived at after charging/(crediting): Six months ended 30 June 2026 Six months ended 30 June 2025 RMB’000 RMB’000 (Unaudited) (Unaudited) (a) Finance costs: Interest expenses on bank loans 32,548 27,851 Interest expenses on lease liabilities 180 620 Imputed interest expenses on convertible bonds (note 14) 22,114 — Other borrowing costs 40,930 39,575 95,772 68,046 (b) Other net losses/(gains): Loss on changes in fair value of conversion rights from convertible bonds (note 14) 258,916 — Gain on changes in fair value of early redemption rights from convertible bonds (note 14) (9,500) — Net gain on changes in fair value of other financial instruments at FVTPL (126,585) (36,003) Net foreign exchange loss 66,768 8,413 Reversal of impairment of other receivables (4,000) — Loss on disposal of property, plant and equipment 56 3,922 Donations 4,329 4,605 Penalties and compensation paid 11,328 3,984 Others 23,564 16,705 224,876 1,626 (c) Other items: Depreciation of right-of-use assets 4,876 4,565 Amortisation of intangible assets 49,247 46,584 Depreciation of property, plant and equipment 158,016 153,368 Government grants (8,108) (5,367) Write-down of inventories (note 10) 532 1,053 Bank interest income (8,081) (9,102)
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– 11 – 6 INCOME TAX IN THE CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS Taxation in the condensed consolidated statement of profit or loss represents: Six months ended 30 June 2026 Six months ended 30 June 2025 RMB’000 RMB’000 (Unaudited) (Unaudited) Current tax Provision for the period 278,211 195,173 Under provision in respect of prior years 1,310 14,991 279,521 210,164 Deferred taxation 45,530 (266) 325,051 209,898 (a) Under the Corporate Income Tax Law of the PRC, which was passed by the Fifth Plenary Session of the Tenth National People’s Congress, effective from 1 January 2008, the Company and its PRC subsidiaries are subject to income tax at the statutory rate of 25%, unless otherwise specified. (b) Hong Kong profits tax rate in 2026 is 16.5% (2025: 16.5%). No provision for Hong Kong profits tax is made as the subsidiary located in Hong Kong still has accumulated tax losses. (c) Kyrgyzstan corporate income tax rate in 2026 is 0% (2025: 0%). (d) Papua New Guinea corporate income tax rate in 2026 is 30%. 7 EARNINGS PER SHARE (a) Basic earnings per share The calculation of basic earnings per share for the six-month period ended 30 June 2026 is based on the earnings attributable to equity shareholders of the Company of RMB972,414,000 (six-month period ended 30 June 2025: RMB663,969,000) and weighted average number of 1,337,288,937 ordinary shares in issue during the six-month period ended 30 June 2026 (six-month period ended 30 June 2025: 1,268,710,862 ordinary shares).
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– 12 – 7 EARNINGS PER SHARE (Continued) (b) Diluted earnings per share During the six months period ended 30 June 2026, there were certain granted but unvested restricted share whose vesting is contingent upon the satisfaction of specified future performance conditions. As at the end of the reporting period, these performance conditions had not been met and, based on available information, there remained significant uncertainty regarding their achievement after the reporting period. Consequently, these shares were not considered dilutive potential ordinary shares for the current period. Accordingly, they were excluded from the calculation of diluted earnings per share for the period. Because the diluted earnings per share amount is increased when taking convertible bonds into account, the convertible bonds had an anti-dilutive effect on the basic earnings per share for the period and were ignored in the calculation of diluted earnings per share. Therefore, the diluted earnings per share amounts are based on the profit for the period and the profit attributable to equity shareholders of the Company of RMB972,414,000, and the weighted average number of ordinary shares of 1,337,288,937 outstanding during the period. 8 PROPERTY, PLANT AND EQUIPMENT AND CONSTRUCTION IN PROGRESS Acquisitions and disposals of owned assets During the six months ended 30 June 2026, acquisitions of property, plant and equipment and additions of construction in progress of the Group amounted to approximately RMB217,213,000 and RMB380,668,000, respectively (six months ended 30 June 2025: RMB19,939,000 and RMB309,987,000, respectively). Items of property, plant and equipment with an aggregate net book value of approximately RMB10,586,000 was disposed of during the six months ended 30 June 2026 (six months ended 30 June 2025: RMB4,791,000), resulting in a loss on disposal of RMB56,000 (six months ended 30 June 2025: resulting in a loss on disposal of RMB3,922,000). During the six months ended 30 June 2026, property, plant and equipment amounting to RMB738,915,000 (six months ended 30 June 2025: Nil) was acquired through acquisition of subsidiaries. 9 INTANGIBLE ASSETS Acquisitions and disposals During the six months ended 30 June 2026, additions of exploration and evaluation assets and mining rights made by the Group amounted to approximately RMB47,271,000 and RMB11,600,000, respectively (six months ended 30 June 2025: RMB25,863,000 and RMB157,297,000, respectively). There is no disposal of intangible assets during the six months ended 30 June 2026 (six months ended 30 June 2025: Nil). During the six months ended 30 June 2026, exploration and evaluation assets and mining rights amounting to RMB423,606,000 and RMB3,404,345,000, respectively (six months ended 30 June 2025: Nil) were acquired through acquisition of subsidiaries.
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– 13 – 10 INVENTORIES At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Gold ores 176,708 164,295 Gold concentrate and compound gold 1,667,488 1,660,736 Gold bullion 640,500 516,729 By-products 23,942 21,773 Spare parts and consumables 465,613 106,264 2,974,251 2,469,797 The analysis of the amount of inventories recognised as an expense and included in profit and loss is as follows: Six months ended 30 June 2026 Six months ended 30 June 2025 RMB’000 RMB’000 (Unaudited) (Unaudited) Carrying amount of inventories sold 6,107,452 6,653,504 Write-down of inventories 532 1,053 6,107,984 6,654,557
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– 14 – 11 TRADE AND OTHER RECEIVABLES As of the end of the reporting period, the ageing analysis of trade debtors and bills receivable (which are included in trade and other receivables), based on the invoice date and net of loss allowance, is as follows: At 30 June 2026 At 31 December 2025 Note RMB’000 RMB’000 (Unaudited) (Audited) Within three months 456,541 144,670 Over three months but within one year 19,193 6,950 Trade debtors and bills receivable, net of loss allowance (a) 475,734 151,620 Other receivables, net of loss allowance 71,479 66,250 Amounts due from related parties 3,359 2,464 74,838 68,714 Financial assets measured at amortised cost 550,572 220,334 Purchase deposits 752,552 761,572 Less: Allowance for non-recoverability (701,932) (701,932) 50,620 59,640 Prepayments 586,357 709,328 1,187,549 989,302 (a) For sales of gold and jewellery, the Group requests customers to pay cash in full immediately upon the delivery. For sales of other metallic products, trade and bills receivables are due within 30 days to 180 days from the date of billing.
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– 15 – 12 CASH AND CASH EQUIVALENTS AND RESTRICTED CASH At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Cash at bank and in hand 1,277,875 819,357 Restricted cash can be analysed as follows — Pledged deposits for letter of credit 621,697 250,000 — Pledged deposits for issuance of bank acceptance bills (note) — 450,000 — Guarantee deposits for environment governance 44,383 33,269 — Guarantee deposits for gold, silver and copper futures 171,875 398,796 — Others — 8,337 837,955 1,140,402 Note: Certain guarantee deposits were pledged to secure the bank facilities lines for the Group to endorse bank acceptance bills for settlement of trade payables. The bank acceptance bills secured by pledged deposits were included in the category of secured bank borrowings as disclosed in Note 13.
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– 16 – 13 BANK AND OTHER BORROWINGS The analysis of the carrying amount of bank borrowings is as follows: At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Short-term bank and other borrowings: — Bank and other borrowings 2,012,558 2,058,583 — Add: Current portion of long-term bank and other borrowings 552,500 367,050 2,565,058 2,425,633 Long-term bank and other borrowings: — Bank and other borrowings 1,965,800 1,157,750 — Less: Current portion of long-term bank and other borrowings (552,500) (367,050) 1,413,300 790,700 3,978,358 3,216,333 At 30 June 2026 and 31 December 2025, the bank and other borrowings were repayable as follows: At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Within one year or on demand 2,565,058 2,425,633 Over one year but within two years 1,413,300 790,700 3,978,358 3,216,333
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– 17 – 13 BANK AND OTHER BORROWINGS (Continued) At 30 June 2026 and 31 December 2025, the bank and other borrowings were secured as follows: At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Bank and other borrowings — Secured 1,965,000 700,000 — Unsecured 2,013,358 2,516,333 3,978,358 3,216,333 14 CONVERTIBLE BONDS On 1 December 2025, the Company issued zero coupon convertible bonds with a nominal value of HK$1,166,000,000. The convertible bonds had a original maturity date on or around 29 November 2026. The Company used the net proceeds for mergers and acquisition opportunities for overseas high quality gold mining assets, replenishing the Company’s working capital and refinancing existing indebtedness. The bonds were convertible at the option of the bond-holders into ordinary H shares of the Company of a nominal value of RMB0.20 each at an initial conversion price of HK$17.83 per H share (subject to the adjustments in accordance with the terms of the convertible bonds) at any time during the period commencing from the date of issue of the convertible bonds (i.e. 1 December 2025) up to the date falling 10 days prior to the maturity date. Any convertible bonds not converted will be redeemed at 101.51% of its outstanding principal amount on the maturity date (i.e. 29 November 2026). The Company had the right to redeem, under specified situations as elaborated in the terms of the convertible bonds, all but not some only of the convertible bonds at their “Early Redemption Amount”, which was an amount calculated with reference to the principal amount of the relevant convertible bonds generally representing for the bondholders a gross yield of 1.51% per annum. The convertible bonds that contain liability, redemption option and conversion option components were classified separately into their respective items on initial recognition. The fair value of various components are determined based on the valuation conducted by Jones Lang LaSalle (“ JLL”) at the Completion date (i.e. 1 December 2025). The fair value of the convertible bonds as a whole of HK$1,098,946,000 (equivalent to RMB1,059,626,000) is determined by using the Binomial Option Pricing Model. The fair value of the liability component of the convertible bonds is calculated using cash flows discounted at a rate based on an equivalent market interest rate for equivalent non-convertible bonds. The fair value of the redemption option is determined by the difference between the fair value of equivalent convertible bonds with redemption option and without redemption option. The effective interest rate of the liability component on initial recognition and the subsequent recognition of interest expense on the convertible bonds was calculated using effective interest rate of 9.72% per annum.
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– 18 – 14 CONVERTIBLE BONDS (Continued) On 3 March 2026, the Company issued a notice to redeem all the outstanding convertible bonds at the Early Redemption Amount of HK$1,005,035.49 for each HK$1,000,000 principal amount, with redemption scheduled to take place on 2 April 2026. However, prior to the scheduled redemption date, all of the convertible bonds were converted by the bond-holders into H shares from 3 February 2026 to 19 March 2026. Up to 19 March 2026, convertible bonds with nominal value of HK$1,166,000,000 were converted to 65,395,378 H shares. Consequently, no redemption payment was made. The fair value of the redemption and conversion option at each of the conversion date are determined based on the valuation conducted by JLL using the Binomial Option Pricing Model. The movements of the convertible bonds and its derivative components during the year are set out below: Convertible bonds Early Redemption rights Conversion rights Total RMB’000 RMB’000 RMB’000 RMB’000 As at 1 December 2025, initial recognition 992,572 (3,261) 70,315 1,059,626 Direct transaction costs (12,258) 40 (868) (13,086) Effective imputed interest 9,967 — — 9,967 Changes in fair value — 733 12,558 13,291 As at 31 December 2025 (Audited) 990,281 (2,488) 82,005 1,069,798 Effective imputed interest 22,114 — — 22,114 Exchange difference (3,221) — — (3,221) Changes in fair value — (9,500) 258,916 249,416 Conversion of convertible bonds (1,009,174) 11,988 (340,921) (1,338,107) As at 30 June 2026 (Unaudited) — — — — The major inputs for the valuation of the fair value of the redemption option derivative component of the convertible bonds as at issue date, as at 31 December 2025 and as at the conversion dates are as follows: At Conversion dates At 31 December 2025 At issue date 1 December 2025 (Audited) (Audited) Adjusted share price (HKD) 19.07 to 24.55 17.91 16.66 Conversion price (HKD) 17.83 17.83 17.83 Risk-free rate 2.10% to 2.29% 2.33% 2.43% Volatility 40.03% to 41.31% 40.04% 40.03%
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– 19 – 15 TRADE AND OTHER PAYABLES AND FINANCIAL LIABILITIES AT FVTPL As of the end of the reporting period, the ageing analysis of trade creditors, based on the invoice date, is as follows: At 30 June 2026 At 31 December 2025 Notes RMB’000 RMB’000 (Unaudited) (Audited) Current trade and other payables Within 3 months 810,536 550,282 Over 3 months but within 6 months 59,865 20,049 Over 6 months but within 1 year 12,035 10,009 Over 1 year but within 2 years 5,596 18,013 Over 2 years 32,075 19,712 Total trade creditors 920,107 618,065 Other payables and accruals 482,067 341,688 Total 1,402,174 959,753 Interest payables 1,956 1,696 Payable for mining rights 61,547 62,547 Deferred income (b) 10,867 10,339 Amount due to a related party 112 — Decommissioning costs (c) 4,293 — Dividends payable to shareholders of the Company, net of withholding tax 34,509 28,373 1,515,458 1,062,708 Financial liabilities at FVTPL Gold, silver and copper future and forward contracts — 55,065 Conversion rights of convertible bonds — 82,005 — 137,070 Non-current other payables Payable for long-term assets (a) 225,381 307,014 Deferred income (b) 78,613 122,963 Decommissioning costs (c) 429,468 113,499 733,462 543,476
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– 20 – 15 TRADE AND OTHER PAYABLES AND FINANCIAL LIABILITIES AT FVTPL (Continued) Notes: (a) Payable for long-term assets represents non-current payables in respect of procurement of property, plant and equipment, construction in progress and mining right which the liabilities are due to be settled beyond twelve months after the reporting period. (b) Deferred income represents grants received from the government for the exploration of mines and construction of mining related assets. When certain conditions are met, the government grants are recognised as income over the periods necessarily to match them with the related costs of assets constructed which they are intended to compensate over the periods and in the proportion in which depreciation on those assets is charged. (c) The decommissioning costs relate to reclamation and closure costs relating to the Group’s mine operations. The decommissioning costs are calculated as the net present value of estimated future net cash flows of the reclamation and closure costs, discounted at 2.2% to 4.9% (2025: 4.9%), which amounted to RMB433,761,000 (as at 31 December 2025: RMB113,499,000) in total as at 30 June 2026. 16 CAPITAL AND RESERVE (a) Share capital Number of domestic shares of RMB0.20 each Number of H shares of RMB0.20 each Total number of shares Amounts RMB’000 Registered, issued and fully paid: As at 1 January 2025 566,975,091 676,500,964 1,243,476,055 248,695 Conversion of domestic share to H shares (Note (i)) (385,578,033) 385,578,033 — — Subscription and issuance of H shares on 18 March 2025 (Note (ii)) — 43,500,000 43,500,000 8,700 As at 31 December 2025 (Audited) 181,397,058 1,105,578,997 1,286,976,055 257,395 Conversion of convertible bonds (Note 14) — 65,395,378 65,395,378 13,079 Subscription and issuance of H shares on 22 April 2026 (Note (iii)) — 29,816,000 29,816,000 5,964 Cancellation of repurchased shares on 15 June 2026 (Note (iv)) — (1,809,700) (1,809,700) (362) Cancellation of repurchased shares on 26 June 2026 (Note (iv)) — (898,000) (898,000) (180) As at 30 June 2026 (Unaudited) 181,397,058 1,198,082,675 1,379,479,733 275,896 All Domestic shares and H shares are ordinary shares and rank pari-passu with the same rights and benefits.
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– 21 – 16 CAPITAL AND RESERVE (Continued) (a) Share capital (Continued) (i) On 23 January 2025, the conversion of an aggregate of 385,578,033 Domestic Shares of the Company into 385,578,033 H Shares has been completed. (ii) Pursuant to a placing agreement entered into on 10 March 2025, 43,500,000 H Shares were issued at the price of HKD5.38 per H Share. Gross proceeds and net proceeds from the subscription amounted to approximately HKD234,030,000 (or RMB216,573,000 equivalent) and HKD228,790,000 (or RMB211,724,000 equivalent), respectively. The placement of share was completed on 18 March 2025. (iii) Pursuant to a placing agreement entered into on 14 April 2026, 29,816,000 H Shares were issued at the price of HKD26.16 per H Share. Gross proceeds and net proceeds from the subscription amounted to approximately HKD779,987,000 (or RMB683,759,000 equivalent) and HKD770,744,000 (or RMB667,057,000 equivalent), respectively. The placement of share was completed on 22 April 2026. (iv) The Company repurchased 4,542,600 of its shares on The Stock Exchange of Hong Kong Limited (the “ Hong Kong Stock Exchange ”) at a total consideration of HKD76,550,000 (equivalent to RMB66,544,000). 2,707,700 repurchased shares were cancelled during the period and the total amount paid for the repurchase of the cancelled shares of HKD45,629,000 (equivalent to RMB39,665,000) has been charged to reduction of share capital and share premium of RMB542,000 and RMB39,123,000, respectively, of the Company. As at 30 June 2026, the Group had 1,834,900 repurchased shares (as at 31 December 2025: Nil) amounting to RMB26,879,000 (as at 31 December 2025: Nil) classified as treasury shares, of which 1,538,400 were held for the share option scheme and for raising capital in the future and remaining 296,500 were held for cancellation. (b) Dividends (i) Dividends payable to equity shareholders attributable to the interim period The Directors of the Company do not recommend the payment of an interim dividend for the six months ended 30 June 2026 (six months ended 30 June 2025: an interim dividend of RMB0.164 per share was declared). (ii) Dividends payable to equity shareholders attributable to the previous financial year, approved during the interim period A dividend in respect of the year ended 31 December 2025 of RMB0.05 (year ended 31 December 2024: RMB0.08) per share, amounted to approximately RMB68,984,000 (year ended 31 December 2024: RMB102,958,000) has been approved by the board of directors on 26 March 2026. The dividend was approved at the annual general meeting of the Company held on 19 May 2026. The relevant dividend amount of approximately RMB62,848,000 (six months ended 30 June 2025: Nil) has been paid prior to the reporting date and remaining dividend payable amount of RMB6,136,000 (as at 30 June 2025: RMB102,958,000) is recognised as a liability to the condensed consolidated statement of financial position as at 30 June 2026.
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– 22 – MANAGEMENT DISCUSSION AND ANALYSIS REVIEW OF BUSINESS AND PROSPECT In the first half of 2026, Lingbao Gold Group Company Ltd. (the “ Company”, together with its subsidiaries, the “ Group”) produced approximately 6,891 kg (equivalent to approximately 221,570 ounces) of gold bullion, representing a decrease of approximately 3,930 kg (equivalent to approximately 126,314 ounces) as compared with the corresponding period of the previous year. The decrease in the production volume of gold bullion was primarily due to the adjustment of the purchase and sales scale of the Group’s compound gold business, which affected the decline in certain production volume of compound gold. For the Current Period, the Group recorded a net profit of approximately RMB1,007,463,000, representing an increase of approximately 50.36% as compared with the net profit of approximately RMB670,041,000 for the six months ended 30 June 2025. Such net profit performance was mainly attributable to the following factors: (i) the Group strengthened production organization in the first half of 2026, tapped internal potential, implemented various measures to reduce costs and increase efficiency, and the prices of the Group’s major products, namely gold, silver, copper and sulphuric acid increased as compared with those for the corresponding period of 2025; (ii) the Group completed the subscription transaction for 50%+1 share equity interest in St Barbara Mining Pty Ltd (the “ Target Company ”) on 2 April 2026, the core asset of which is the Simberi gold mine in operation located in Papua New Guinea. The financial results of the Target Company since the completion date of the subscription transaction have been consolidated into the Group’s consolidated financial statements, which had a positive impact on the Group’s results; and (iii) the Group’s net profit was affected by the recognition of a loss on fair value changes of convertible bonds of approximately RMB249 million and related finance costs (including effective imputed interest) of approximately RMB22.11 million (the Board hereby emphasizes that such item is a non-cash item, solely attributable to the application and compliance with the relevant accounting standards, does not involve any cash outflow and does not reflect the Group’s underlying core operating performance), which significantly offset the profit of core businesses. The basic earnings per share of the Company for the Current Period was RMB0.73 (six months ended 30 June 2025: RMB0.52). The Group’s mineral resources are mainly scattered in the regions of Henan, Xinjiang, Inner Mongolia, Jiangxi and Gansu of the People’s Republic of China (the “ PRC”), Kyrgyz Republic (“ KR”) and Papua New Guinea (the “ PNG”). As at 30 June 2026, the Group held 33 mining rights and exploration rights with a total exploration and mining area of approximately 449 square kilometers. The total gold content (mineral resources) was approximately 366 tonnes (11,800,000 ounces).
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– 23 – 1. Mining Segment Revenue and production Our mining business mainly comprises the sales of gold concentrates and compound gold. Most of the gold concentrates and compound gold were sold to the Group’s smelting plant as intra-group sales. The following table sets forth the analysis on the production and sales volume of the mining segment by product category: For the six months ended 30 June 2026 2025 Unit Approximate production volume Approximate sales volume Approximate production volume Approximate sales volume Gold concentrates (contained gold) kg 2,363 2,307 2,499 2,514 Compound gold kg 614 640 386 386 Total kg 2,977 2,947 2,884 2,900 Total Ounce 95,725 94,750 92,731 93,243 The Group’s total revenue from the mining segment for the Current Period was approximately RMB2,638,896,000, representing an increase of approximately 46.18% from approximately RMB1,805,199,000 for the corresponding period in 2025. The increase in total revenue from the mining was attributable to the Group’s mining segment implementing various measures to tighten up operational management and production organization, effectively releasing the production capacity of existing mines, as well as the consolidation of mining revenue from the Target Company since the completion date of the subscription transaction into the total revenue of the mining segment, and the impact of higher gold prices. Among them, revenue from Mining — PRC was approximately RMB2,035,287,000 (six months ended 30 June 2025: RMB1,614,816,000), revenue from Mining — KR was approximately RMB202,620,000 (six months ended 30 June 2025: RMB190,383,000), and revenue from Mining — PNG was approximately RMB400,989,000 (six months ended 30 June 2025: nil). During the Current Period, the turnover in Henan, Xinjiang, KR and PNG accounted for approximately 70.74%, 6.39%, 7.68% and 15.19% of the total turnover from the mining segment, respectively. Compared to the corresponding period of the previous year, the production of compound gold in mining segment increased by approximately 228 kg to approximately 614 kg, while the production of gold concentrates decreased by approximately 136 kg to approximately 2,363 kg during the Current Period.
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– 24 – Segment results The Group’s total profit of the mining segment for the Current Period was approximately RMB1,387,336,000, representing an increase of approximately 37.07% as compared with the total profit of approximately RMB1,012,131,000 for the corresponding period in 2025, among which, the profit from Mining — PRC was approximately RMB1,210,760,000 (six months ended 30 June 2025: RMB949,664,000), and the profit from Mining — KR was approximately RMB83,341,000 (six months ended 30 June 2025: profit of approximately RMB62,467,000), and the profit from Mining — PNG was approximately RMB93,235,000 (six months ended 30 June 2025: nil). The segment result to segment revenue ratio of the Group’s mining segment for the Current Period was approximately 52.57%, compared with approximately 56.07% in the corresponding period in 2025. During the Current Period, the profit of the Mining — PRC segment increased by approximately 27.49% as compared with that in the corresponding period in 2025, mainly attributable to the fact that domestic mines seized market opportunities, tightened production organisation, effectively released production capacity, and explored cost reduction and efficiency enhancement in multiple dimensions, leading to an improvement in profitability on a year-on-year basis. During the Current Period, the Mining — KR segment, being Full Gold, optimised its processing plant processes and achieved a steady improvement in processing capacity, while focusing on refined management, and recorded a segment profit of RMB83,341,000 (30 June 2025: segment profit of approximately RMB62,467,000). During the Current Period, the Mining — PNG segment recorded a segment profit of RMB93,235,000. Based on the above, the production volume of the Group’s mining segment increased as compared with that of the corresponding period in 2025, and the overall profit of the mining segment increased by approximately 37.07% as compared with that of the corresponding period in 2025.
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– 25 – 2. Smelting Segment The Group’s existing melting plant is situated in Henan Province, and is capable of processing gold, silver, copper products and sulphuric acid. Its main products include gold bullion, silver, copper products and sulphuric acid. The following table sets forth the analysis on the production and sales volume of the smelting segment by product category: For the six months ended 30 June 2026 2025 Unit Approximate production volume Approximate sales volume Approximate production volume Approximate sales volume Gold bullion (processed from gold concentrates) kg 4,251 4,220 4,597 4,617 ounce 136,676 135,697 147,789 148,449 Gold bullion (processed from compound gold purchased externally) kg 2,640 2,561 6,224 6,225 ounce 84,894 82,333 200,095 200,150 Silver kg 3,869 3,580 4,442 4,313 ounce 124,388 115,098 142,813 138,679 Copper products tonne 990 1,088 845 829 Sulphuric acid tonne 39,132 38,589 39,346 38,851 Sales and production The Group’s total revenue from the smelting segment for the Current Period was approximately RMB7,463,563,000, representing a decrease of approximately 6.24% from approximately RMB7,960,292,000 for the corresponding period in 2025. The decrease in the total revenue of the smelting segment for the Current Period was primarily attributable to a year-on-year decrease in the production and sales volume of compound gold.
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– 26 – Segment results The Group’s smelting segment recorded a profit of RMB218,566,000 for the Current Period (compared with a profit of approximately RMB47,379,000 recorded in the corresponding period in 2025). The smelting segment capitalized on market opportunities arising from rising prices of gold, silver, copper and sulphuric acid products, implemented refined management controls, strictly controlled various expenses, and carried out energy-saving technical improvements, thereby achieving cost reduction and efficiency enhancement. CONSOLIDATED OPERATING RESULTS Revenue The following table sets forth the analysis on the Group’s sales by product category: For the six months ended 30 June 2026 2025 Product name Amount Sales volume Average unit price Amount Sales volume Average unit price (RMB’000) (RMB per kg/tonne) (RMB’000) (RMB per kg/tonne) Gold bullion 6,868,827 6,781 kg 1,012,878 7,537,559 10,842 kg 695,176 Silver 60,437 3,580 kg 16,882 31,393 4,313 kg 7,278 Copper products 97,126 1,088 tonnes 89,274 56,541 829 tonnes 68,217 Sulphuric acid 41,691 38,589 tonnes 1,080 13,324 38,851 tonnes 343 Gold concentrates/ compound gold 1,074,812 1,140 kg 942,506 324,016 471 kg 687,208 Others 56,068 8,611 Revenue before tax 8,198,961 7,971,444 Less: Sales taxes and levies 210,722 (178,708) 7,988,239 7,792,736 The Group’s revenue for the Current Period was approximately RMB7,988,239,000, representing an increase of 2.51% as compared with the corresponding period in 2025. The increase was primarily attributable to the rise in prices.
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– 27 – Gross profit and gross profit margin The Group’s gross profit and gross profit margin for the Current Period were RMB1,880,255,000 and 23.54%, respectively, and the gross profit and gross profit margin for the corresponding period of the previous year were RMB1,138,179,000 and 14.61%, respectively. The increase in gross profit margin was attributable to the Group’s deepened technological and process innovation, multi-dimensional efforts to unlock cost reduction and efficiency improvement potential, strict implementation of refined management, as well as the year-on-year increase in market prices of major products. REVIEW OF THE FIRST HALF OF 2026 Since the beginning of 2026, with a focus on its overall development strategy and annual work objectives, the Group, amidst considerable fluctuations in gold prices, continued to concentrate on optimising internal production organisation, cost control and efficiency improvement, while steadily advancing key works and projects. In terms of resource growth, the Group pursued a dual-pronged approach of “both internal and external expansion”, achieving breakthrough progress in both exploration of existing mineral resources and overseas resource acquisitions, thereby driving the transformation of the Group’s development paradigm from “relying on market-driven growth” to “building upon endogenous growth momentum”. Looking back at the work in the first half of 2026, it generally presents the following characteristics: (I) Positive progress in key project construction and license approvals Through the concerted efforts of the Group’s headquarters and its mining units, the Duolanasayi Gold Mine of Habahe Huatai Gold Company Limited (“ Huatai”) completed its reconstruction and expansion project of the Duolanasayi Gold Mine and successfully obtained the Work Safety Permit. Tongbai Xingyuan Mining Company Limited (“ Xingyuan”) completed the final acceptance inspection for the major safety facility change at its Shangshanghe-Laowan ore section, and obtained the Work Safety Permit in July. Nanshan branch of Lingbao Gold Group Company Ltd. (“ Nanshan Branch ”) passed the final acceptance inspection for the safety facilities of the underground mining production system at the Qiangma mining area of the Lingjin No. 1 Mine, and obtained the Work Safety Permit in July. The Longtougou Tailings Dam of Nanshan Branch, the Baihua Concentrator, and the green upgrading project of the smelting branch of Lingbao Gold Group Company Ltd. (“ Smelting Branch ”) successively obtained environmental impact assessment approvals. The implementation of these key initiatives has laid a solid foundation for the Company’s lawful, compliant, safe, efficient, sustainable and stable production.
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– 28 – (II) Continuous breakthroughs in exploration of existing mineral resources, steadily enhancing resource security During the first half of 2026, the Group achieved successive progress and breakthroughs in resource exploration at Huatai, Xingyuan, Nanshan Branch, Chifeng Jinchan Mining Co., Ltd. (“ Jinchan”) and Full Gold Mining Limited Liability Company (“ Full Gold ”), laying a resource security foundation for future capacity expansion and depth extension. Notably, Huatai submitted a resource report compliant with the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the “ JORC Code ”, 2012 edition), which was announced on 7 August, resulting in a surge in the gold metal content (Mineral Resources) of Huatai and its subsidiary, Habahe Huayuan Mining Company Limited, from 13.20 tonnes at the end of 2025 to 53.94 tonnes. Concurrently, the Company accelerated the digital transformation of its resource management functions by establishing standardised technical operating procedures, conducting tiered technical training programmes, and promoting the adoption of three-dimensional digital applications in geology, survey and mining operations, thereby achieving a “three-dimensional, efficient, high-quantity, rapid, high-quality and cost-effective” outcome. (III) Substantial breakthroughs were achieved in overseas mergers and acquisitions and resource expansion, further improving the Company’s global footprint In early April, the Group completed the subscription and closing of a 50% + 1 share of the equity interest in St Barbara Mining Pty Ltd (the “ Target Company ”), thereby acquiring an interest in the Simberi gold mine project and injecting new momentum into the Group’s global development. With the Group’s management and technical teams stationed at the project site, the Target Company achieved sequential growth in both gold production and operating profit in the second quarter of 2026 following the acquisition closing, demonstrating the initial results of post-investment integration and the accelerated release of synergistic benefits, and realizing the expected goal of “integrating upon acquisition and enhancing efficiency through integration.” This overseas investment represents a tripartite collaboration among the Company, the Target Company, and the Government of Papua New Guinea, constituting an important practice in the implementation of the “Belt and Road” Initiative and is also regarded by the Government of Papua New Guinea as a model project for attracting foreign investment.
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– 29 – (IV) An initial framework for information technology applications and collaborative systems has taken shape In terms of production informatization and intelligence, the Group has achieved near-full coverage of mining data acquisition, unified data sources and reporting standards, completed the integration of quality inspection linkage and metal balance reconciliation, and continued to enhance its system integration capabilities. The Baihua Concentrator of Nanshan Branch has realized automatic collection of core equipment data and, with the assistance of artificial intelligence (“ AI”) technology, is exploring particle size recognition and automatic ore volume estimation, providing strong support for cost control and process optimization. The unmanned driving of electric locomotives at the Qiangma Mining Area of Nanshan Branch has successfully completed trial operations, and the shaft intelligent platform is operating stably, with steady improvements in safety and dispatch efficiency. In terms of management informatization, the Group’s asset management system, PMS project management system, SRM procurement system, and others have been successively launched, promoting online collaboration between core business operations and management, and significantly enhancing operational control efficiency. In terms of cutting-edge technology exploration, the Group has deployed the Lingjin AI Agent across multiple scenarios, including drilling data analysis and evaluation Agent, intelligent ore blending Agent, beneficiation intelligent analysis Agent, management report consolidation, invoice verification, data screening and anomaly identification, and trend analysis, with the benefits of intelligent empowerment gradually becoming evident. (V) Talent recruitment and pipeline development were promoted in a coordinated manner In terms of social recruitment, the Group recruited a total of 62 individuals in the first half of 2026, of whom talent in key technical positions such as geology, surveying, mining, mineral processing, metallurgy, electromechanical engineering, and safety accounted for 50%, effectively strengthening the core technical workforce. In terms of campus recruitment, the Group conducted targeted recruitment campaigns at key industry universities including China University of Geosciences, China University of Mining and Technology, and Central South University, with 55 new graduates onboarded in the first batch, providing a strong pool of young talent for subsequent pipeline development. OUTLOOK FOR THE SECOND HALF OF 2026 The Group will grasp the cyclical fluctuations in gold prices, deepen internal quality and efficiency improvement, intensively promote key projects, and strengthen the growth of endogenous driving forces. At the same time, the Group will continue to properly expand external resources, firmly seize opportunities for external growth, and continuously enhance its core competitiveness and risk resilience. Key tasks for the second half of 2026 include:
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– 30 – (I) Intensively promoting key engineering projects Nanshan Branch will steadily advance the commissioning of the underground mining production system at the Qiangma mining area to rapidly release mining capacity, while accelerating efforts to ensure that the Longtougou tailings dam completes safety acceptance and water and soil conservation acceptance and is put into operation within the year. Xingyuan will strive to complete the renewal of its safety production permit, obtain a new mining license for 1 million tonnes (above –350 meters), and complete the field acceptance and review of the deepening production exploration project before the end of 2026, thereby laying the foundation for subsequent production increases and capacity expansion. Full Gold will accelerate the launch of the new tailings dam project and enter the construction preparation phase as soon as possible. The construction of Jinchan’s 60,000-tonne/year underground mining technical transformation project is planned to reach the halfway mark of the overall project by 2026, with the aim of completing it ahead of schedule and passing the acceptance inspection. (II) Promoting efficient resource replenishment through mine-based exploration Continuous drilling will be carried out in the deep sections covered by mining concessions of the Duolanasayi Gold Mine of Huatai and the deep sections covered by mining concessions of Laowan Gold Mine of Xingyuan, to lay the foundation for future deepening; infill exploration will be conducted in the exploration concessions surrounding Duolanasayi to upgrade resource estimates, while general prospecting will be carried out in the southern part of the concession; Nanshan Branch, Jinchan and Full Gold will conduct mine-based exploration and deep blind-ore prospecting in the deep and peripheral areas within their mining concessions. Simberi Gold Company Limited and Nord Australex Nominees (PNG) Limited in Papua New Guinea are currently formulating a three-year exploration plan to commence drilling as soon as possible. (III) Deepening overseas operations and resource expansion The Group will focus on the construction and operation of the Simberi gold mine project to drive a strategic transformation of its overseas layout from project acquisitions to “operational management + continuous expansion”. Regarding the Simberi gold mine project, the professional team established by the Group will take overall charge of management and production operations, fully leverage its technical, managerial and supply chain advantages, steadily advance the renovation and expansion project, strictly control quality and progress, and ensure that production is commenced on schedule and to quality standards. In terms of new project expansion, the Group will accelerate the pace of screening and evaluation, rigorously select projects with superior resource endowments, favourable policy environments and high economic feasibility, continue to deepen its global layout, and make every effort to build a sustainable overseas resource development ecosystem.
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– 31 – (IV) Driving cost reduction and efficiency enhancement across the entire value chain through technological and process innovation The Group will promote process innovation through scientific and technological advances and implement cost-reduction and efficiency-enhancement measures throughout the entire mining and mineral processing chain. In particular, it will cooperate with leading research institutions such as the Mining and Metallurgy Technology Group and Central South University to pilot mechanized high-efficiency mining methods at its various mines. Upon successful piloting, these methods will provide important support for the digital and intelligent transformation, capacity expansion and efficiency enhancement, and intrinsic safety of each mine. Based on the production conditions of each mine, the Group will adopt classified and targeted measures to accelerate the deployment of mechanized equipment: Xingyuan will introduce rock drilling jumbos, load-haul-dump vehicles and supporting haulage equipment to form a complete mechanized ore extraction operation line; Huatai will introduce remotely controlled mining equipment and intelligent shotcrete robots to enhance underground construction efficiency and safety standards; and Full Gold will pilot mechanized mesh-and-shotcrete support to replace traditional steel arch support, thereby simplifying processes and reducing costs without compromising safety. Meanwhile, the Group will accelerate the joint development with equipment manufacturers of UBM, a specialized mining equipment for extremely thin ore bodies, in a bid to break through the technological bottleneck of mechanized mining in narrow spaces and thin ore veins as soon as possible, thereby providing equipment support for safe, efficient, low-cost and sustainable production at its mines. (V) Deepening reform of the internal management system The Group will take the optimization of its organizational performance system as the starting point, benchmark against industry-leading enterprises, and systematically establish a closed-loop chain linking strategic objectives, budget management, performance appraisal and operational analysis, so as to effectively channel management requirements into business objectives, resource allocation and application of results, and comprehensively enhance internal management efficiency. At the same time, the Group will continue to intensify its talent recruitment efforts, enhance compensation competitiveness, improve office and living environments, strengthen team development and corporate culture building, and create a favorable environment for attracting, nurturing, retaining and making the best use of talent in all respects.
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– 32 – (VI) Accelerating the in-depth promotion and application of informatization and intelligentization In the informatization transformation, the Group adheres to a results-oriented approach, focusing on high-value scenarios to drive automation replacing manual labour, informatization enhancing efficiency, and intelligentization empowerment. In terms of automation, the Group will focus on advancing the processing automation at Xingyuan and Huatai, the phase II of processing automation at Baihua Concentrator of Nanshan Branch, and the implementation of individual smart scenarios in smelting, while simultaneously initiating research on underground unmanned operations and digital equipment to accelerate the process towards reduced-manning and unmanned operations. In terms of safety informatization, the Group will rapidly advance the monitoring of systems safety, microseismic monitoring, and slope monitoring, and integrate them with AI large model capabilities to achieve intrinsic safety enhancement, ensuring real-time control over the mine safety defence line. In terms of production informatization, leveraging paperless office and smart analytics platforms, the Group will deepen the application of MES systems at Xingyuan, Nanshan Branch and Smelting Branch, promote the pilot implementation of metal balance at Nanshan and the paperless rollout of geological exploration reports, and advance the construction of the smart factory management and control platform for the refinery and the group-wide safety production operation command centre. In terms of management informatization, the Group will accelerate the implementation of the group fund management and control system, strengthen the application of the PMS project refined management, and progressively advance the construction of the group-wide integrated budget management and control platform. In terms of deep AI application, the Group will deepen the in-depth reuse of self-developed scenarios including the Lingjin AI Agent, AI ore blending, AI processing plant data analytics, AI resource modelling and AI video analytics, accelerate the integration of AI with business operations, and propel informatization from a phase of auxiliary implementation into a new stage of value realisation and large-scale reuse. (VII) Firmly holding the red line and bottom line of safety and environmental protection The Group will continue to increase rigid investment in safety and environmental protection, focus on various sources of risk to advance intrinsic safety reconstruction and risk source mitigation, improve the dual prevention mechanism of risk classification control and hidden danger investigation and rectification, and strictly enforce the safety production and ecological environmental protection responsibilities of all employees at every level. This will consolidate the foundation for safe and green development, and strive to create a safe, stable, well-regulated, orderly and environmentally friendly production and operation environment, providing a solid guarantee for the Group’s steady operations.
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– 33 – FINANCIAL REVIEW Liquidity and Financial Resources The Group generally finances its acquisitions and operations with internally generated funds and bank loans. The cash and cash equivalents and pledged deposits as at 30 June 2026 amounted to RMB2,115,830,000 (31 December 2025: RMB1,959,759,000). The total equity of the Company as at 30 June 2026 amounted to RMB9,536,593,000 (31 December 2025: RMB4,667,044,000). As at 30 June 2026, the Group had current assets of RMB6,705,600,000 (31 December 2025: RMB5,602,272,000) and current liabilities of RMB4,269,829,000 (31 December 2025: RMB4,817,517,000). The current ratio was 157.05% (31 December 2025: 116.29%). As at 30 June 2026, the Group had total outstanding bank and other borrowings of approximately RMB3,978,358,000 (with interest rates ranging from 1.01% to 3.5% per annum). Approximately RMB2,565,058,000 should be repayable within one year, and approximately RMB1,413,300,000 should be repayable over one year. The gearing ratio as at 30 June 2026 was 23.36% (31 December 2025: 29.69%), which was calculated by total borrowings divided by total assets. As at 30 June 2026, the Group had unutilised banking facilities related to unsecured bank borrowings of approximately RMB1,519,830,000, which could be drawn down by the Group to finance its operations. Based on past experience and communication with banks, the Board believes that the Company has the ability to renew or secure banking facilities upon maturity, to ensure its continuing operation for the 12-month period from 1 July 2026 to 30 June 2027. In order to effectively lower the debt ratio and improve the financing ability of the Group, the Group will take the following measures: 1) Continuing refined management to tap internal potential and continuously enhance the gross profit margin of products from self-owned mines. At the same time, optimising the production capacity layout and allocation to strengthen the capability of generating operating cash flow; 2) Improving the capital allocation mechanism to accelerate capital turnover and enhance utilisation efficiency. On this basis, continuing to optimise the scale of liabilities and maintain a healthy capital structure; 3) Strengthening communication with banks and other financial institutions, leveraging the sustained improvement in the Company’s performance and cash flow to deepen mutual trust between the Group and banks, effectively reducing financing costs;
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– 34 – 4) Making full use of the advantages of high inventory liquidity and quick realisation in the gold mining industry, reasonably allocating low-cost supply chain financing products, and broadening financing channels; 5) Optimising the financing maturity structure by replacing part of the short-term borrowings with medium and long-term loans to improve liability matching, effectively alleviating short-term repayment pressure, and preventing liquidity risks; 6) Completing the issue of HK$1,166 million zero coupon convertible bonds due 2026 (the “ Convertible Bonds ”) under general mandate (as detailed in the announcements dated 25 November 2025 and 1 December 2025, respectively). The net proceeds from the placing are intended to be used for potential merger and acquisition opportunities in the gold industry, supplementing the working capital of the Company, and refinancing existing debts. On 24 November 2025 (after trading hours), the Company and the Lead Manager entered into the Subscription Agreement, pursuant to which and subject to fulfillment of certain conditions contained therein, the Company has agreed to issue, and the Lead Manager has agreed to subscribe and pay for, or to procure subscribers to subscribe and pay for, the Convertible Bonds in a principal amount of HK$1,166 million. Assuming full conversion of the Convertible Bonds at the initial Conversion Price of HK$17.83 per H Share, the Convertible Bonds will be convertible into approximately 65,395,401 H Shares. The issue of the Convertible Bonds in an aggregate principal amount of HK$1,166,000,000 was completed on 1 December 2025. As at the date of this announcement, all of the Convertible Bonds in an aggregate principal amount of HK$1,166 million have been fully converted into 65,395,378 H Shares at a conversion price of HK$17.83 per H Share within the conversion period commencing from 3 February 2026 to 19 March 2026; and 7) Completing the placing of new H shares under the general mandate to no less than six placees (as detailed in the announcements dated 14 April 2026, 17 April 2026 and 22 April 2026, respectively) to raise funds for the Company and, at the same time, broaden its shareholder and capital base. All placees are professional institutions and/or individual investors. As all conditions for the completion of the Subscription have been satisfied, the Company, pursuant to the terms and conditions of the Placing and Subscription Agreement, allotted and issued 29,816,000 new H Shares to the seller on 22 April 2026, at a price of HK$26.16 per Subscription Share. The Subscription Shares represent approximately 2.16% of the Company’s issued share capital as enlarged by the Subscription. The net proceeds received by the Company from the Subscription (after deducting all costs and expenses) amounted to approximately HK$770.7 million. The net proceeds from the placing are intended to be used for acquisitions and constructions for overseas high quality gold mining assets, exploration and expansion of mineral reserves and replenishment of general working capital.
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– 35 – Security and Guarantee For details of securities and guarantees of the Group as at 30 June 2026, please refer to Note 13 — Bank Borrowings to these financial statements in this announcement. Market Risks The Group is exposed to various types of market risks, including fluctuations in gold prices and other commodity prices, as well as changes in interest rates, foreign exchange rates and inflation. Gold price and other commodities price risk The Group’s revenue and profit for the Current Period were affected by fluctuations in the gold prices and other commodities prices as all our products were sold at market prices and such fluctuations in prices were beyond our control. The Group does not use and strictly prohibits the use of commodity derivative instruments or futures for speculation purpose. All commodity derivative instruments are used to minimise the potential price fluctuation of gold and other commodities. Interest rate risk The Group is exposed to risks associated with the fluctuation in interest rates on our debt obligations. The Group undertakes debt obligations for general corporate purposes such as support of capital expenditure and working capital requirements. The Group’s bank loans bear interest rates that are subject to adjustment made by our lenders in accordance with changes of the relevant regulations of the People’s Bank of China. If the People’s Bank of China increases the interest rates, our finance costs will increase accordingly. In addition, to the extent that we may need to raise our debt financing in the future, upward fluctuations in interest rates will increase the cost of new debt. At present, the Group has not entered into any agreements or purchased any instruments to hedge against its interest rate risk. Exchange rate risk The Group’s transactions are mainly denominated in Renminbi. As such, fluctuations in exchange rates may affect the international and domestic gold prices, and our operational results may be affected. In addition to the foregoing, the exchange rate risks to which the Group exposes are mainly caused by certain bank deposits, trade and other receivables, trade and other payables and bank loans, which are denominated in foreign currencies. The currency risk is primarily United States dollars.
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– 36 – Fluctuations in exchange rates may adversely affect the value of our net assets, earnings and any dividends we declare when they are being converted or translated into Hong Kong dollars. At present, the Group has not entered into any agreements or purchased any instruments to hedge against its foreign exchange risk. Contractual Obligations As at 30 June 2026, the Group’s total capital commitments in respect of the contracted costs which was not provided for in the financial statements was approximately RMB90,073,000 (31 December 2025: RMB32,890,000), representing an increase of approximately RMB57,183,000. Capital Expenditure For the Current Period, the Group’s capital expenditure was approximately RMB749,954,000, representing an increase of approximately 86.22% from approximately RMB402,720,000 for the corresponding period in 2025. The Group’s capital expenditure mainly relates to the construction of mining shafts and renewal of mining rights for other relevant subsidiaries, expansion of project equipment and upgrading of production equipment. Contingent Liabilities As at 30 June 2026, the Group had no material contingent liabilities. Human Resources The emolument policy of the employees of the Group is set up by the management on the basis of their merits, qualifications and competence. As at 30 June 2026, the Group had an aggregate of 3,718 employees (as at 31 December 2025: 3,670 employees). The Group recruited and promoted individual persons according to their capabilities and development potential. The Group determined the remuneration packages of all employees including the Directors with reference to individual performance and prevailing market salary scale. For the six months ended 30 June 2026, the Group’s total employee compensation (including salaries and bonuses) amounted to approximately RMB223.6 million, representing an increase of approximately RMB56.6 million, or approximately 33.9%, as compared with approximately RMB167.0 million for the corresponding period in 2025. The increase in employee compensation was primarily attributable to (i) an increase in headcount and adjustments to employee remuneration; (ii) a year-on-year increase in bonuses.
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– 37 – The Group is dedicated to the training and development of its employees, and provides its employees with abundant training opportunities and diversified training programs. The Group provides introductory training and orientation for all new employees, as well as on-the-job training to continually improve its employees’ technical, professional and management skills. The Company has also developed salary incentive policies for the purpose of providing incentives and rewards to eligible participants, including the employees of the Group, who contribute to the success of the Group’s operations. The Group has also implemented a share award scheme to provide incentives and/or rewards to eligible participants in recognition of their contributions to the development and achievements of the Group. Share Award Scheme The Company adopted a share award scheme on 5 August 2025, with the aim of, among others, providing incentives and/or rewards to eligible participants in recognition of their contributions to the development and achievements of the Group. The share award scheme took effect from the date of adoption and shall be valid for a term of ten years. On 5 November 2025, the Company granted awards involving 6,608,000 H Shares to 89 selected employee participants in accordance with the terms of the share award scheme. Although such awards have been granted, no recognition was made in respect of this matter for the year ended 31 December 2025 and the Current Period. Therefore, there was no shares that may be issued due to the grant of award, if any, for the year ended 31 December 2025 and the Current Period. Further information about the share award scheme will be disclosed in the 2026 Interim Report of the Company. Funding and Treasury Policy The Group maintains a prudent funding and treasury policy. Surplus funds are maintained in the form of cash deposits with licensed banks and licensed financial institution. To manage liquidity risk, the Board of Directors closely monitors the Group’s liquidity position to ensure that the liquidity structure of the Group’s assets, liabilities and other commitments can meet its funding requirements from time to time. Significant Investments, Material Acquisition and Disposal of Subsidiaries, Associates and Joint Ventures The Group entered into a discloseable transaction to subscribe 50% + 1 share of the equity interest in the Target Company, whose core asset is the Simberi gold mine in operation located in Papua New Guinea, at a total consideration of AUD389 million. Upon completion, Simberi project is expected to help increase the Group’s gold resource base, expand its production scale and overseas presence, and provide stable recurring income source through existing oxide ore production and development of sulfide ore resources for ten years in the future.
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– 38 – On 2 April 2026, all conditions precedent under the Equity Placing Agreement were satisfied or waived, the completion of the subscription took place in accordance with the terms and conditions of the Equity Placing Agreement, and upon such completion, the consideration was fully settled and satisfied, with the Company beneficially holding 50% + 1 share of the equity interest in the Target Company. As such, the Target Company has become a non-wholly-owned subsidiary of the Company, and the financial results of the Target Company has been consolidated into and recorded in the consolidated financial statements of the Group. For further details, please refer to the Company’s announcements (the “ Announcements ”) dated 10 December 2025, 30 December 2025, 13 February 2026 and 2 April 2026. Unless the context otherwise requires, capitalised terms used herein shall have the same meanings as those defined in the Announcements. Save as disclosed otherwise in this announcement, the Group did not hold any other material investments as at 30 June 2026 and the date of this announcement, and there was no other material acquisition or disposal of subsidiaries, associates or joint ventures by the Group during the Current Period. Future Plans for Material Investments or Capital Assets Save as disclosed otherwise in this announcement, the Group did not have any other future plans relating to material acquisitions, investments or capital assets as at 30 June 2026 and the date of this announcement. Purchase, sale or redemption of listed securities of the Company For the six months ended 30 June 2026, as the Board considered that the price of the Company’s shares did not reflect their intrinsic value, and the share repurchase program could reflect the Board’s confidence in the Company’s development prospects, pursuant to the mandates granted by the Company’s shareholders at the general meetings of the Company held on 17 September 2025 and 19 May 2026 to repurchase shares of the Company, the Company repurchased an aggregate of 4,542,600 H Shares on The Stock Exchange of Hong Kong Limited at a total consideration of approximately HK$76 million, representing approximately 0.3293% of the Company’s total issued share capital (H Shares (including treasury shares) + domestic shares) as at 30 June 2026. During the Current Period, the Company cancelled an aggregate of 2,707,700 H Shares. Concurrently, the Company converted 1,538,400 H Shares into treasury shares during the period. The remaining 296,500 H Shares were subsequently cancelled on 3 July 2026.
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– 39 – Details of the repurchase made by the Company are as follows: Month Number of shares repurchased Highest purchase price per share Lowest purchase price per share Total consideration (before expenses) HK$ HK$ HK$ May 2026 3,154,700 19.22 15.70 57,034,274 June 2026 1,387,900 16.00 12.99 19,363,563 4,542,600 76,397,837 Save as disclosed above, neither the Company nor any of its subsidiaries has purchased, redeemed or sold any of the Company’s listed securities (including sale of treasury shares) during the six months ended 30 June 2026. As at 30 June 2026, the Company held 1,538,400 treasury shares.
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– 40 – ISSUE FOR CASH OF EQUITY SECURITIES During the Current Period under review and as at the date of this announcement, the Company has conducted/completed the following fund-raising activity(ies) for cash: Date of announcement/ circular/prospectus Fund raising activity Net proceeds raised (approximately) Intended use of the net proceeds Actual use of the net proceeds as at 30 June 2026 11 March 2025 and 18 March 2025 Issue and allotment of 43,500,000 new H Shares under the General Mandate HKD228.8 million Possible mergers and acquisitions opportunities in gold industry Approximately HKD77.8 million has been used for the acquisition of the gold mine in Ecuador according to the intended use and approximately HKD151.0 million is expected to be fully utilized on or before December 2026. 25 November 2025 and 1 December 2025 Issue of HKD1,166 million zero coupon convertible bonds due 2026 under General Mandate HKD1,151.6 million Possible mergers and acquisitions opportunities in gold industry; replenishment for the Company’s working capital and refinancing for existing indebtedness Approximately HKD926.8 million has been used for replenishment for the working capital and repaying existing loans according to the intended use, and approximately HKD224.8 million is expected to be fully utilized on or before December 2026. 14 April 2026, 17 April 2026 and 22 April 2026 Issue and allotment of 29,816,000 new H shares under the General Mandate HKD770.7 million Acquisitions and constructions for overseas high-quality gold mining assets, exploration and expansion of mineral reserves and replenishment of general working capital Unused as at 30 June 2026 and approximately HKD770.7 million is expected to be fully utilized on or before December 2026 according to the intended use. EVENTS AFTER THE CURRENT PERIOD Save as disclosed otherwise in this announcement, there were no other material events occurred after the Current Period. INTERIM DIVIDEND The Board does not recommend the payment of interim dividend for the six months ended 30 June 2026 (six months ended 30 June 2025: RMB0.164).
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– 41 – CORPORATE GOVERNANCE The Company is committed to maintaining and promoting high standards of corporate governance, which is essential to the Group’s development and protection of the interests of its shareholders. The Company has adopted the relevant code provisions of the Corporate Governance Code as set out in Part 2 of Appendix C1 (the “ Corporate Governance Code ”) to the Rules Governing the Listing of Securities of the Stock Exchange (the “ Listing Rules ”) as the basis for its corporate governance practices. The Board is of the view that the Company has complied with all the applicable code provisions set out in the Corporate Governance Code during the Current Period. The Board will continue to review and monitor the corporate governance practices of the Company with the aim of maintaining a high standard of corporate governance. MODEL CODE FOR SECURITIES TRANSACTIONS The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers (the “ Model Code ”) as set out in Appendix C3 to the Listing Rules as its code of conduct regarding dealings in the securities of the Company by the Directors, the supervisors of the Company (the “ Supervisors”) and the Group’s employees who, because of his/her office or employment, are likely to possess inside information. Specific enquiries have been made by the Company to all the Directors and the Supervisors, and all of the Directors and the Supervisors have confirmed that they have complied with the Model Code during the Current Period. No incident of non-compliance of the Model Code by the employees was identified by the Company during the Current Period. AUDIT COMMITTEE The Audit Committee comprises four independent non-executive Directors and one non-executive Director, namely, Mr. Yeung Chi Tat (Chairman), Mr. Zhang Feihu, Mr. Bo Shao Chuan, Mr. Guo Michael Xinsheng and Mr. Huang Hui. An Audit Committee meeting was held on 24 August 2026 to review the unaudited interim financial report for the six months ended 30 June 2026. BDO Limited, the Group’s external auditor, has carried out a review of the interim financial report for the six months ended 30 June 2026 in accordance with the Hong Kong Standard on Review Engagements 2410 “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the HKICPA.
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– 42 – PUBLICATION OF RESULTS ANNOUNCEMENT AND INTERIM REPORT This results announcement has been published on the website of The Hong Kong Exchanges and Clearing Limited (the “ HK Exchange ”), www.hkexnews.hk, and the website of the Company, www.irasia.com/listco/hk/lingbao. The 2026 Interim Report will be despatched (if requested) to shareholders in due course and published on the websites of the HK Exchange and the Company. By order of the Board Lingbao Gold Group Company Ltd. Chen Jianzheng Chairman Lingbao City, Henan Province, the PRC 26 August 2026 As at the date of this announcement, the Board comprises five executive directors, namely Mr. Chen Jianzheng, Mr. Wang Pinran, Mr. Xing Jiangze, Mr. He Chengqun and Ms. Zhao Li; two non-executive directors, namely Mr. Zhang Feihu and Mr. Wang Guanran; and four independent non-executive directors, namely Mr. Yeung Chi Tat, Mr. Bo Shao Chuan, Mr. Guo Michael Xinsheng and Mr. Huang Hui.